Why Nvidia's Dow Jones Inclusion Is Not Bullish
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Nvidia's inclusion in the Dow Jones Industrial Average (DJIA) may not be bullish, as stocks added to the DJIA often underperform. Historical trends show cyclical stocks are added at highs and deleted at lows. The S&P 500 has outperformed the DJIA since 2010, indicating the DJIA's limitations.
November 11, 2024 | 3:30 pm
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Nvidia's inclusion in the DJIA may not be bullish, as historically, stocks added to the DJIA often underperform. This suggests caution for investors.
The article suggests that stocks added to the DJIA often underperform, and Nvidia's inclusion may follow this trend. Historical patterns show cyclical stocks are added at highs, which could lead to underperformance.
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